Make Your Money Work for You: Earn Daily Interest on Your Account Balance

Maintaining a balance in your transaction account is like keeping money in a wallet. This balance conveniently serves daily needs. However, this money usually stays in the account for only a few days or weeks, and many consider it unsuitable for savings or investments, viewing it as “idle” money as it earns minimal interest.

However, it’s a different story for online shop owners, small business owners, and micro-entrepreneurs. They often need to maintain a large balance in their transaction accounts to pay for goods, purchase raw materials, and repair business equipment. When this money has the opportunity to “earn daily,” it can generate significant interest, optimizing “idle” funds for online shop owners, small business owners, and micro-entrepreneurs.

You work hard, so why let your money relax?

With the goal of helping online shop owners, small business owners, and micro-entrepreneurs optimize the profits of their transaction account balances safely and efficiently, Shinhan Bank introduces the SOHO MMDA transaction account product. This account offers an “interest-earning” feature based on the end-of-day balance maintained in the transaction account. The higher the end-of-day balance, the higher the applicable interest rate.

“SOHO” stands for “Small Office, Home Office,” a popular term for a type of apartment used for both residential and commercial purposes. Meanwhile, a SOHO Loan is a loan designed for SMEs, micro-enterprises, or super-small businesses, often with preferential interest rates and limits.

With this in mind, Shinhan Bank’s SOHO MMDA transaction account product is specifically designed for business owners and private enterprises, as well as individual Vietnamese customers who own a business or private enterprise, and individual Korean customers with business income meeting the specified conditions (*). For business customers, this product is applicable to organizations borrowing SOHO loans, business car loans from Shinhan Bank, or organizations with a chartered capital of no more than VND 5 billion, excluding foreign organizations.

With a minimum balance of VND 15 million in the SOHO MMDA transaction account, customers will earn interest on their deposits based on the corresponding interest rate for each end-of-day balance tier, with rates of up to 0.5%/year (**). The earned interest is calculated as the sum of daily interest and is paid on the third Saturday of each month.

Customers can freely use the available balance in their account whenever they need to spend without any restrictions, allowing them flexibility in managing their cash flow while still earning interest on their short-term idle funds.

Optimizing “idle” funds with the MMDA account

For example, with a balance of VND 200 million in the SOHO MMDA transaction account, interest will be calculated based on the end-of-day balance tiers and corresponding interest rates. After three months, if there is a need to spend, the user can utilize the entire VND 200 million along with approximately VND 175,050 in interest. In contrast, a regular account with a non-term deposit interest rate of 0.1%/year would yield only about VND 49,320 in interest. Thus, the interest earned from the SOHO MMDA transaction account is 3.5 times higher than that of a regular transaction account.

The launch of the SOHO MMDA transaction account is part of Shinhan Bank’s strategy to promote the development of products and services for SMEs, small business owners, and super-small businesses, in addition to providing supplementary working capital loans and business investment loan packages for SMEs. This demonstrates Shinhan Bank’s commitment to supporting local businesses and achieving the goal of effectively implementing its “localization” strategy.

Funds in the account are guaranteed safe and free from the risk of capital loss

For more information and consultation on the SOHO MMDA transaction account product, please contact Shinhan Bank’s hotline at 1900 1577 or visit your nearest Shinhan Bank branch or transaction office.

(*) Applicable terms and conditions

(**) Refer to the interest rates corresponding to the end-of-day balance tiers here. Interest rates may vary depending on the time of deposit.